Cumulus Rentals - Administration
 

Shame, worked well for us..

Have to agree

Anyone got any inside on the capital position of the company and the likelyhood of us seeing our deposits back?

Same story different day
 

If they had gone to specsavers they might have seen their way clear to paying the vatman the £100,000 plus they owed. He always wins. Saw one of the directors the other day near his home in Hedge End. Didn't see that much of him as he was covered in a newish Jag. It's an old but familiar tale.

hope this helps
 

The administrators are TICKELL, JAMES RICHARD and FAULDS, CARL D. both of 1640 PARKWAYSOLENT BUSINESS PARK
WHITELEY
FAREHAM
HAMPSHIRE
PO15 7AN
which is of course the company address.
Write as a creditor and stake your claim.

It's a damn hard business model to make work.

I tried it a few years ago.

A very narrow market; nearly totally VFR-only pilots (nearly all current IR holders already got their own plane) but ones with lots of money to afford the very high marginal hourly cost.

How did they owe C&E £100k? That would suggest they made of the order of £500k plus in profits during the relevant period. That debt (if true) could not have been from a straight trading activity.

Something to do with aircraft purchase, i believe.

Spoke to the creditors today and asked what the chance of seeing a deposit back was, at least he didn't laugh... The deposit money was put in a separate account but Ed H clearly spent it...

I have been doing a fair bit on the aircraft that are owned by others and seeing what is the best way of making sure ex members can get flying again. That and finding out how they are going to dispose of the assets, which is sell them to the highest bidder!

If any ex members are interested in still flying a cirrus then drop me a PM.

Stuart

The only way I can see this happening is if you bought several planes, claimed back the VAT, and then C&E decided to disallow the reclaim. Why would they do that? Normally they need to see a business plan before they will authorise the VAT repayment.

Perhaps it's VAT on rentals, which hasn't been returned?

Or perhaps certain aircraft were sold, VAT charged, but not remitted to HMRC?

Perhaps specific aircraft were purchased, VAT reclaimed, but not used in the business, and kept for personal use?

Oh, another possibility would be having used the 0% Danish route, that HMRC contest that the rules have been followed, and that UK VAT is actually owed?

Indeed....

Your VAT liability is essentially the difference between the VAT you've charged your clients and the VAT you've paid to your suppliers. It has absolutely nothing to do with profit. If you are paying a lot of interest on loans or have a large wagebill you could be making a whopping loss but still have a substantial VAT liability.

we own one of the SR22's that Ed had and have got it back just after the administrators came in - thankfully. did not receive a penny from them and inccured maintence cost as well. we are thinking of starting a shared ownership on our plane - anyone interested let me know.

I heard it was mainly a VAT Dispute on used planes purchased that subsequently were proven that VAT was due on them.

Isn't it the sellers problem if they fail to charge VAT due and the transaction has already gone through?

Unless they had claimed back VAT on purchased used planes and it turned out that the claim was not allowable for some reason.

Correct.

I don't really buy some of the other explanations because the alleged £100k VAT shortfall is a little high for that, relative to the likely turnover of this operation.

Still, who knows... the answer could be something totally different.

like the bloke running it.....

Surely not.

Companies are run by the highly competent staff at Companies House.

Tongue in cheek I am sure, but in reality they only administer companies - very little in the way of policing I am afraid.